The waiting is over and the time for the second-quarter earnings reports is upon us. One thing is for sure, with a pricey stock market and an edgy investor crowd not wanting to give much leeway to stocks that miss expectations, it makes sense to look for companies that can deliver. With technology stocks having run hard and needing to deliver big numbers, many investors have turned their gaze to consumer and infrastructure companies to deliver performance.

A new Jefferies research note focuses on some consumer companies and a top mining stock for solid growth while displaying some value characteristics. The firm has five top stocks rated Buy this week that have low expectations but could deliver some very solid results and have big upside to the firm’s price targets.

Advance Auto Parts

A big player in this industry was mauled recently, and the Jefferies team likes the setup for the rest of 2017 for this company. Advance Auto Parts Inc. (NYSE: AAP) is the second largest auto parts retailer in the United States, Puerto Rico and the Virgin Islands. It operates more than 4,000 stores under the Advance Auto Parts brand, as well as nearly 200 AutoPart International locations. It sells to both do-it-yourself customers and professional installers.

With a competitor warning of sharply lower results, all the stocks in the industry, which has been red hot over the past few years, have been hit hard. The analysts noted this in the report:

We believe the company is relatively well positioned vs. online competition given the company’s 58% commercial mix, shares trade at 12.8x forward price to earnings and we believe there’s significant longer term margin potential, with profitability at less than 50% of peers. We believe that the second half of 2017 is likely an inflection point as savings initiatives take hold.

Shareholders receive a small 0.24% dividend. The Jefferies price target for the stock is $130, but the Wall Street consensus is much higher at $148.86. The stock closed Monday at $101.17.

Cliffs Natural Resources

This is a mining play that Jefferies recently initiated with a Buy rating. Cliffs Natural Resources Inc. (NYSE: CLF) is a producer and supplier of iron ore pellets, via its U.S. Iron Ore segment, to the North American steel industry from its mines and pellet plants located in Michigan and Minnesota. Its Asia Pacific Iron Ore operations are located in Western Australia and consist of its Koolyanobbing operation.

The analysts are bullish on the stock and said this in their report:

While the company is a pure play iron ore miner, Cliffs offers high leverage to US steel prices and production as US contracts are linked to a mix of seaborne iron ore and US steel prices. We see upside potential from domestic trade policy/Section 232, which would boost average selling prices and drive critical demand for the company’s pellets, which could cause idled capacity from core customers to be restarted.

Jefferies has a $9 price target, and the posted consensus target is at $6.79 a share. But note that the stock closed above that level Monday at $7.05.

Conagra

This is a solid stock for conservative investors looking for growth and income. Conagra Brands Inc. (NYSE: CAG) is a leading packaged food manufacturer in the United States that generated fiscal 2016 sales of $8.2 billion. Conagra’s operating segments are Consumer Foods and Commercial Foods. Key brands include Healthy Choice, Hebrew National, Chef Boyardee and Hunt’s.

The Jefferies analysts said why in their report:

The stock has underperformed year-to-date falling 12% as takeout premiums in food have dwindled and following the fiscal 2018 guidance. We believe the market is concerned by the slowdown in margin expansion but we believe guidance will wind up being conservative as it was last year and we see other drivers of margin including new products, trade productivity savings, etc. The stock trades at 11x next 12 months EBITDA, or an 8% discount to its large cap peers.

Shareholders are paid a solid 2.41% dividend. The $46 Jefferies price target compares with the consensus target of $41.15. The stock close Monday at $33.23 a share.

Monster Beverage

The current rage for energy drinks won’t be ending any time soon and this company is a leader. With more than $3 billion in sales, Monster Beverage Corp. (NASDAQ: MNST) is an alternate beverage company focusing primarily on the energy drink segment. Approximately 75% of sales are in the United States, and the company has two primary operating segments focused on finished goods and concentrates.

It’s important to remember though that Coca-Cola owns 16.7% of Monster Beverage, and the purchase back in 2015 made the Coke the company’s primary distributor in the United States and gave Monster access to the soft drinks giant’s distribution system in international markets. There always remains a possibility Coke could acquire the entire company as well.

Jefferies has set its price target at $60, while the consensus target is $56.06.The stock closed trading Monday at $50.51.

Newell Brands

This top consumer goods stock is a safe play for investors worried about a toppy market. Newell Brands Inc. (NYSE: NWL) is a manufacturer and marketer of consumer products has six reporting segments, including the recently acquired Jarden.

The segments are: Writing (Sharpie, Paper Mate, Waterman, Parker), Home Solutions (Rubbermaid, Calphalon, Goody), Tools (Irwin, Lenox), Commercial Products (Rubbermaid Commercial Products, Rubbermaid Healthcare), Baby & Parenting (Graco, Aprica) and Jarden (with 120 brands including Yankee Candle, Jostens, Oster, Sunbeam, Mr. Coffee, K2, Marmot, Rawlings, Coleman and First Alert).

Top Wall Street analysts see upside from cost synergies, more acquisitions and portfolio rationalization that could drive operating margins and the multiple. Last month the company announced the sale of its Winter Sports business for $240 million representing 9.6 times 2016 EBITDA. The sale of Winter Sports increases focus on the go-forward portfolio, while also providing cash for delevering or mergers and acquisitions.

Investors in Newell Brands are paid a 1.73% dividend. The Jefferies price target is $65. The consensus price objective is $58.71, and the shares closed most recently at $53.40.

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All these top companies are well positioned in their respective sectors and offer big upside to the Jefferies price targets. They also offer investors more contrarian plays in a very rich stock market, something that makes good sense at this point.

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